Overview
- Semtech reported fiscal Q2 revenue of $341.9 million, up 32.7% year‑over‑year, and adjusted EPS of $0.71, both above Street estimates.
- The company issued Q3 guidance for revenue of $405 million to $415 million and adjusted EPS around $1.02 to $1.08, well above prior analyst forecasts.
- Shares jumped more than 10% in premarket trading after the results, and several sell‑side firms raised price targets with UBS at $230 and a consensus average near $204.
- Company commentary and analysts pointed to the data‑center business as the main growth engine, citing accelerating bookings and a record backlog while naming LoRa, FiberEdge qualifications, and CopperEdge as product catalysts that could drive further gains.
- The key risks to watch are the timing and durability of product qualifications and margin expansion, with analysts saying a sustained ramp in data‑center and CopperEdge revenue into fiscal 2028 would be needed to confirm the current optimism.